In a recent government meeting, officials addressed concerns surrounding the Below Market Rate (BMR) housing program, particularly regarding the risks faced by homeowners when selling their units. A key issue raised was the lack of awareness among buyers about the inherent risks associated with homeownership, especially for low-income individuals purchasing BMR units.

One official emphasized that since 2019, the program has improved transparency by clearly disclosing the difference between the affordable price and the maximum resale price of BMR units. This change was implemented to ensure that buyers understand the potential risks and the realities of the housing market, which can fluctuate significantly. Despite these efforts, concerns remain about the ability of homeowners to sell their units at the maximum price, as market conditions can greatly affect resale opportunities.

The discussion highlighted that the risk for BMR buyers is now comparable to that of market-rate buyers, with no guarantees of profit or stability in homeownership. Officials acknowledged that while the number of BMR units affected by these issues is relatively small—estimated at around 100 out of 1,400—the uncertainty surrounding the exact number of units and their market conditions poses challenges for future policy decisions.

Commissioners debated potential legislative solutions to address the concerns of those who purchased units before the 2019 changes, with some suggesting that financial assistance could help homeowners. However, officials noted the lack of available funding to support such measures, emphasizing that the city cannot guarantee financial backing for every homeowner facing losses.

The meeting concluded with a consensus that while the current legislation aims to rectify programmatic issues, the broader market conditions remain unpredictable, complicating the sale of BMR units. Officials reiterated their commitment to ensuring that the program continues to serve its intended purpose of providing affordable housing while navigating the complexities of the housing market.